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Ms. McKeehan noted that employees do not pay into the social security system. <br /> <br /> Mayor Pico pointed out the differences between the social security system and the <br />PERS retirement system. Social security payments are less than the benefits that would <br />be paid to a PERS employee, and he believed it was a direct result of the PERS system <br />being managed significantly better than the social security system. As a result, City <br />employees are able to benefit with a lucrative retirement package. He believed projected <br />revenues for property and sales taxes need to be taken into consideration. He reflected <br />back on the past eight years, and pointed out that property tax revenue went up $28 <br />millions dollars a year, and the sales tax revenue went up over $5 million dollars a year. <br />A constitutional amendment will be needed in order for the State to change the process in <br />allocating property and sales tax monies to cities. He believed the City would continue to <br />see a reasonable growth in property taxes for the foreseeable future. He also believed the <br />increase in revenue would exceed the increase the City is looking at paying for additional <br />compensation for all City employees. He said it was prudent to provide a five percent <br />increase to the City's management employees. <br /> <br /> Michael O'Callaghan, 125 W. Neal Street, applauded Ms. McKeehan for her <br />eloquent job in representing her staff. He believed it was inappropriate for Council to <br />disclose their opinions prior to allowing for public input. He was not in favor of the <br />proposed five percent increase and did not believe there was any justification <br /> <br /> Jerry Thorne, 5144 Hummingbird Road, asked Council to make a decision that <br />was based on sound information, and not political. He was concerned about total <br />compensation and believed the City needed to take this into consideration prior to <br />benchmarking other cities. He agreed with the pay for performance approach for <br />management employees. <br /> <br /> Jerry Wagner, 6344 Alisal Street, believed the five percent increase was not <br />appropriate, particularly during financial hard times. <br /> <br /> Kurt Kummer, 4456 Clovewood Lane, mentioned that perception is reality. He <br />believed the perception of taxpayers is that government is out of control. Based on that <br />perception, he did not know if it was appropriate to grant a five percent increase, and <br />cautioned the Council to be careful about the financial condition of the City. <br /> <br /> Cindy McGovem, 9206 Longview Drive, would like the public to be made aware <br />of potential pay increases prior to negotiations by staffand the Council. This would <br />enable the public to be prepared and provide adequate input as to their concerns. She <br />suggested a policy change be made to allow the public the opportunity to discuss their <br />concerns, as the public believes they are not a part of the process. She believed the <br />residents in this community worry about financial stability over time as the City <br />approaches build out. She wanted to trust and have faith in Council that the decisions <br />being made are not going to reduce the services to this community. <br /> <br />Pleasant City Council 22 10/21/03 <br />Minutes <br /> <br /> <br />